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decade. the key thing here is this is the first so-called big idea with support from influential lawmakers on both sides of the aisle. last night, the republican-led house pass its preferred solution to solving the crisis known as the cut, cap, and balance act, the legislation cuts federal spending by $6 trillion and requires a constitutional balanced budget amendment in exchange for raising the debt ceiling but the bill is expected to die in the senate. the president's focus was on the plan forged by the so-called gang of six. >> it's time to get down to the business of actually solving this problem and i think we now are seeing the potential for a bipartisanship consensus around what that would take. >> reporter: the plan calls for an immediate deficit cut of $500 billion and mandates spending caps through 2015 and require congress on find specific cuts in medicare, defense spending, agricultural and energy. it would phase in the lower inflation measure for social security and scale back, but not eliminate, deductions for mortgage interest and charity and retirement counts and
area alone. >> unauthorized immigrants are found throughout the state. they are not just the big areas that we expect to find them which is los angeles or san joaquin valley or agricultural areas. in the bay area, about 8% of the population is unauthorized and that's the same average in the state. >> reporter: researchers also confirm that illegal immigrants pay federal taxes taxes. the study relied on tax id numbers which many undocumented workers use to file tax returns since they don't have social security numbers. rural counties like monterey, san benito, napa and sonoma have some of the highest percentages of illegal immigrant residents. among bay area counties, santa clara and alameda had the highest percentages. >> i think the study has come out we haven't had like a real number. >> reporter: but the immigrant rights and education network in san jose thinks there are even more illegal immigrants because some are afraid to file tax returns. >> i think that might be a little bit more. i think that there's a lot of people that fear to a certain extent, you know, letting the govern
of the big items on their to do list is a deal to cut the budget deficit and raise the federal debt limit. joining us is senior white house correspondent bill plante. what is the latest on the negotiations? >> reporter: they are deadlocked. still, no further schedule of talks between the white house and coning. republicans remain opposed to any kind of new taxes. and democrats are just as adamant that there has to be some kind of new revenue. congress has raise the debt ceiling 102 times since it was first instituted in 1917. and ten times in the last decade. but never before have the stakes been so high where democrats and republicans so unwilling to budge. norm is a longtime student of congress. >> normally, what you see in these negotiations is tough stances but at least some willingness to go, not halfway, but a quarter of the way where the other side is. >> reporter: in 1983, republican president ronald regulariagan supported a rise. he wrote. nor have democrats always been in favor of raising the limit. in 2006, then senator barack obama voted against an increase, a voed he later ad
and congressmen don't get social security, they get really big pensions for life, so i don't think they really care whether anybody else out there starves. >> clearly, no one is taking this lightly. >> folks depend on it. rebecca, thanks. >>> there is news this morning of another arrest in the phone hacking scandal in britt. in the meantime, rupert murdoch is pressured to appear about lawmakers in london and washington. dana lewis is in london with more on this this morning. >> reporter: we are hearing a ninth person has been arrested. the former executive editor of "news of the world." the late-breaking news this morning is the british government committee issued a summons for rupert and james murdoch to appear before them to answer questions what they knew in the phone hacking scandal but legally a serious question whether they can be compelled to appear. did this control in high gear. rupert murdoch and his son james in london trying to find a way to put out the fire. in a matter of days, their company news corp shut down a newspaper "news of the world." withdrawn a bid for a pay television
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